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Cotton prices may stay under pressure
31
May '12
Following the decline in cotton prices in the past four weeks, the white gold may come under pressure in the short-term, says a report.

The report released by the Australia & New Zealand Banking Group Ltd. (ANZ) said, “In the short term, cotton prices look set to remain under pressure”.

It adds, “Raw cotton inventories in bonded Chinese warehouses are high and export volumes from Brazil and Australia, will be apparent over the next six months.”

Australia which is the third biggest cotton exporter is expected to post a 20 percent hike in cotton output from the previous season.

The most-active cotton contract on Standard & Poor's GSCI Index of 24 raw materials has plunged 19 percent in the last one month.

Fibre2fashion News Desk - India

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